Bernie Sanders and AOC announce bill placing moratorium on AI data centers

Sen. Bernie Sanders (I-VT) and Rep. Alexandria Ocasio-Cortez (D-NY) introduced legislation on Wednesday that seeks to impose a nationwide moratorium on the construction and upgrading of new AI data centers. The proposed "Artificial Intelligence Data Center Moratorium Act" states that the halt would remain in effect until Congress enacts comprehensive AI legislation addressing the safety and prosperity of Americans. A key driver for the bill's Democratic sponsors is the concern over rising electricity prices for consumers, environmental harm, and potential job displacement caused by power-intensive AI data centers. The moratorium could be lifted if regulations address these issues, along with governmental review of AI products and data center construction led by union workers. Ahead of the bill's introduction, the Data Center Coalition expressed strong opposition. Cy McNeill, the group's senior director of federal affairs, warned that a moratorium would restrict internet capacity, impede critical services, eliminate hundreds of thousands of high-wage jobs, drain billions in local tax revenue, and increase costs for American families and small businesses. He highlighted that U.S. data centers supported 4.7 million jobs and generated $162 billion in tax revenue in 2023, while emphasizing the industry's commitment to collaborating with lawmakers on AI infrastructure. This congressional push to regulate AI follows the White House's recent unveiling of its own national AI policy framework. That framework, which reiterates President Trump's desire to streamline data center permitting and preempt burdensome state-level AI regulations, also suggests initiatives for data centers to generate their own on-site power. President Trump further contributed to the AI policy landscape by appointing several business leaders, including Meta CEO Mark Zuckerberg and Oracle co-founder Larry Ellison, to the President's Council of Advisors on Science and Technology to advise on AI policy.